U.S. trade deal averts a full-on trade war, but is still likely to crimp Europe's already-weak economic growth. The region's export powerhouses—drug-production hub Ireland and European autos capital Germany—are likely to get hit hardest,

The EU, a group of countries with shared economic interests, exports about $2 trillion worth of goods to the U.S. The 27 countries had hoped for a lower tariff of 10%, similar to the deal Trump negotiated with the U.K. and well below the original threat of 30% tariffs, but most analysts expected something closer to 15%.

F or President Trump and European Commission President Ursula von der Leyen, there was rhetorical convergence at least, on the trade deal which imposed a 15% tariff on European exports to America. “It’s the biggest deal ever”,

European auto stocks climbed on Monday following news that tariffs on car imports from the EU would be reduced from 27.5% to 15%.

The 15% tariff would be lower than previously threatened, but it would remain a high duty on America’s largest trading partner.